Exam 2: Comparative Advantage

The figure below shows the production possibilities curve for the island of Genovia: The opportunity cost of producing a car in Genovia is:

If Jane can produce 3 pairs of shoes per hour, while Bob can produce 2, then ______ has a(n) ______ advantage in producing shoes.

You have noticed that your next-door neighbor, Mary, always works in the garden, and her husband, Joe, always walks the dog. You conclude that if Joe and Mary are efficient, then it must be the case that:

The figure below shows Avery's weekly production possibilities curve for scarves. Avery's PPC would shift outward if she:

Refer to the figure below. The opportunity cost of making an additional salad:

Refer to the figure below. For Chris, the opportunity cost of planting one bulb is removing:

Moe divides his time between studying Physics and studying Economics. His production possibilities curve for his final grade in each class is shown below. The Principle of Increasing Opportunity Cost is reflected in the fact that the opportunity cost going from 70 to 80 in economics is:

Dent 'n' Scratch Used Cars and Trucks employs 3 salesmen. Data for their sales last month are shown in this table: Cars Sold Trucks Sold Larry 10 5 Joe 9 9 Ralph 3 12 Based on last month's data, Larry's opportunity cost of selling a truck is selling:

The figure below shows the production possibilities curve for the island of Genovia: The opportunity cost of producing one ton of agricultural products in Genovia is:

The downward slope of the production possibilities curve illustrates the:

Refer to the figure below. For Chris, the opportunity cost of removing one bag of trash is planting:

Earth Movers & Shakers operates 3 iron ore mines. The table below shows each mine's total daily production and the current number of miners at each mine. All miners work for the same wage, and each miner in any given mine produces the same number of tons per day as every other miner in that mine. Total Tons Per Day Number of Miners Mother Lode 100 25 Scraping Bottom 30 10 Middle Drift 75 15 The opportunity cost of moving one miner from Scraping Bottom to another mine is:

The benefits of specialization can be used to explain why:

Economic growth can result from a(n):

Suppose it takes Dan 5 minutes to make a sandwich and 15 minutes to make a smoothie, and it takes Tracy 6 minutes to make a sandwich and 12 minutes to make a smoothie. Which of the following statements is correct?

If a country is producing at point where an increase in the production of one good requires a reduction in the production of another good, then it must be producing at an:

Outsourcing is a term increasingly used to refer to the act of:

Refer to the figure below. At point D, the opportunity cost of making milk is:

Refer to the table below. Corey's opportunity cost of making of a pizza is delivering: Pizzas Made Per Hour Pizzas Delivered Per Hour Corey 12 6 Pat 10 15

Refer to the figure below. As the production of pizza increases, the opportunity cost of producing pizza: